All Forum Posts by: Michael Behr

I was not aware of the space command not coming to HSV news. That is definitely going to have an impact because so much hype was built into the economy because of that news in the first place.

Yes it was announced yesterday. That’s what I keep hearing all the new complexes and now it’s not coming. I’m not sure how it affects new investors like me. I being told not to buy ugh

0 Votes

How bad is it Space command isn’t coming (Huntsville AL) should I wait and see or keep moving forward? I had an offer and they countered I have until 5pm to decide to counter. This will be my first property. Should I counter and let it expire then try again after I see what the market is gonna do?

0 Votes

Welcome.

I’m in N Alabama and trying to get my first deal

0 Votes

Quote from @Richard F.:

Quote from @Michael Behr:

Quote from @Richard F.:

Aloha,

Who is the Realtor that showed the property...the Seller's, or was it YOUR Agent? (do you understand the legal concept of "agency" that applies here?) If it was your agent, they should advise you on reasonable contingencies for actual inspection that definitely should be in the purchase offer.

Either way, you can probably assume you saw the best of the 4 units and/or if the 3 other Tenants actually knew you were supposed to look at them but refused entry, likely is an indicator of less than stellar Tenants. Depends on how often they have had the imposition during the listing period.

How old and what type of construction is the property? That can often tell you much of what you need to "assume".

1965 site built

In that case, assume the worst...if it has NOT been updated, electrical and plumbing are past their useful life. Either of these systems are likely to have multiple old repairs and modifications, which are/will become more frequently needed going forward.

Assume that subfloors/joists in the vicinity of kitchen sinks, bathroom fixtures will be significantly deteriorated.

Virtually guaranteed you will have asbestos containing materials that will need to be remediated, as well as quite likely lead based paint in some areas.

Odds are, the existing Tenants are very long term, under market, with fair to poor conditions. Be sure to get full documentation and transfer of SD for all Tenants, including estoppel letters and most current written Agreements; appliance ownership info (Tenant or Owner owned); and all other pertinent info. You should require NO new Rental Agreements be offered or signed prior to closing. Once the sale takes place, you would have each Tenant complete an application which would be vetted by you, with your criteria, and then you could decide if you wanted to offer new Agreements, and under what terms. Or give them notice of non-renewal per local law.

They were recently updated this is good info to keep away

0 Votes

Huntsville, Alabama

Quote from @Richard F.:

1965 site built my realtor he’s new for me

0 Votes

Huntsville, Alabama

I found a 4plex! (Occupied) I went and saw it today was supposed to see all 4 units only saw one. I like the one I saw. Realator said I should see the other 3. Can I offer contingent on seeing them? The occupants were supposed to let us in? Is this a red flag or proceed? Will be my first property

0 Votes

Huntsville, Alabama

how's this for a first deal? I currently have a place SFH. I even thought about renting it. The location I think is growing. There is potential for 2-3 ADUs as it has water and sewer 2x. The house will need sweat equity. I have thought about renting my current home and doing a live and fix

0 Votes

Quote from @Zachery Hitchcox:

Quote from @Michael S.:

New SFH acquisitions in Huntsville/Madison proper do not cash flow right now unless you go to C/D neighborhoods or you put at least 30% down on an A/B property to "force" cash flow which not necessarily ideal. I've never seen the market so tight here in the 6 years I've been doing this. We haven't written an offer in months outside of flip opportunities because the numbers simply do not work on LTRs right now here.

Great points Michael and glad to see that I'm not the only one in the Huntsville market feeling that burn. Just started in the Huntsville market back in December and was able to get 2 properties this year at lower cash flow, sub 4%. However, I'm playing long game and have good faith the Huntsville market is strong and will get appreciation as well as good cash flow when rates come down.

I feel like there are some great deals out there right now on price, even if cash flow is a bit tight from high interest. I honestly love this situation and looking to buy 2 more this year to hit my goals.

I am just trying to find my first one right now

2 Votes

Knoxville, Tennessee

I'm in the same spot. I'm In Huntsville Alabama. I think that's the market right now you have to do you due diligence. I'm trying to be cash flow and 8% COC. I'm not sure if that's right.

2 Votes

Knoxville, Tennessee

@Chris Merchant yes I'd like to find a small multi family home to go in with this one. I am not seeing many any my market unless they need complete rehabs. Unsure i want to jump in that deep. thanks for the reply.

@Erik Browning I would love to get in VA loan! I have to wait for my ex to assume the other loan. how did you house hack with kids? In order for that to work I would need to find a multi family home? What is this VA reno loan? IS it better than hard money? IS it easy to acquire? I got my current loan through VA loan.

0 Votes

All Forum Posts by: Michael Behr

Michael Behr has started 19 posts and replied 54 times.

Post: Space Command no go Huntsville

Post: Space Command no go Huntsville

Post: New Member from Selma, Alabama

Post: 1investment Multi family

Post: 1investment Multi family

Post: 1investment Multi family

Post: 1st deal thoughts

Post: New Investor ready to start !

Post: New Investor ready to start !

Post: Divorce dad with joint custody